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While discount rates are at 10% for every maturity, you evaluate 2 investment projects with the following cash flows: Year A B 0 -1,000 -600

While discount rates are at 10% for every maturity, you evaluate 2 investment projects with the following cash flows:

Year A B

0 -1,000 -600

1 700 400

2 900 600

If the two projects are mutually exclusive, which project(s) should you accept?

a. Accept both

b. Project B

c. Project A

d. Reject both

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